Applicability of GST on penalty collected by RERA

[Bibhu Tripathy]

Respected experts,

my queries are:

1. Whether penalty collected by RERA is subject to GST as per Schdule-II. As per sl. No 62 of note. 12/2017

GST rate it is not exempted as RERA is not a local authority?

2. Whether fees deposited to GST IS subject to GST.

With regards

AI Summary

GST on statutory penalties: classification as a taxable supply determines whether regulator collections are subject to tax.
Whether GST applies to penalties under the Real Estate regulator hinges on classification as a supply of service; commentators contend statutory penalties and liquidated damages are not taxable supplies and that fees are taxable only insofar as they represent consideration for a regulatory service rather than punitive or administrative impositions.